India’s GDP has grown at rates of 8 to 9% during recent years, making it the second fastest growing economy in the world. However, too many young people have inadequate knowledge and skills to take advantage of new economy jobs; and employers in many growing sectors of the economy complain that their expansion is hampered by the poor human resource base. 469 million people in 2005, the unemployed population is expected to rise to 630 million by 2010.

Only about 10% of the relevant age group of students go to university in India. Only 5-6% of the youth have access to vocational training. The rest of the large youth population (India has the largest youth cohort in the world with more than 650 million below the age of 30) lacks education, skills and is virtually “unemployable” in the modern economy. The existing education and vocational training system creates a major disconnect between what is taught and the skills required in the modern workplace. The curriculum is de-linked from market needs and graduates from these institutes lack creativity, communication skills, critical thinking abilities and spoken English.

The USAID funded workforce development activity provides access to market oriented employability and entrepreneurship training to the most deprived and vulnerable youth. It mobilizes poor and marginally educated youth, provides them training in skills demanded by local industry and links the trained youth to jobs. Over a two-year period, the program will train over 18,000 disadvantaged youth and placing them in jobs.

In association with multiple public and private sector partners, the program will also put in place an institutional mechanism that will support expansion of the model.

The program is designed in close collaboration with private industry. Apart from financial support, industry is engaged in market surveys, curriculum development, classroom lectures, training support and placement of youth. Prominent partners include the International Labor Organization, Moserbaer, Genpact, Reliance, the Tata Group, DLF Group, the Pune Municipal Corporation and the American India Foundation.

As these partnerships are institutionalized, and the program scales up, it will be well positioned to influence current vocational training policies and practices, impacting millions of youth.